Real Estate Flipping/Renting?

The seller is a good option for money to finance the property. When you have some experience, find some investors to put money in the deal.

Now is not a good time to be flipping…be careful…you may wind up broke.

It’s a tough market to start flipping.

First, all the TV shows about flipping have driven up the prices of prospective properties. It is a buyer’s market, so homes are sitting on the market a long time and buyers are asking for all sorts of concessions, which cut into your profits.

Most lenders will not loan to someone under 21, even hard money lenders. Hard money is essentially legalized loan sharking, the interest rates aren’t favorable and you could find yourself in trouble in a hurry.

How about getting a job in construction to learn the trade, save up some money and do this the conventional way. Hopefully when you are ready, the market will have improved.

flipping is misunderstood; it
means to get control of a property
and selling your rights before escrow
closes.

Normally, a smart seller will ask
for EARNEST MONEY –some cash
to secure the property for you–
and that cash CAN be non-refundable if you are not very careful.

Instead of flipping property,
I suggest the much less understood
area of DELINQUENT TAX CERTIFICATES.

In 12 states, each county has the
right to sell the tax liens on a property.
the buyer of the lien may or may not
be paid back within 3 yrs. IF yes,
all the better and the return is already
agreed to. IF no, the lien buyer must
go to court and seek a warranty deed
thus giving him a DEBT free property.

it seems as though, in those states
with said certs, about 10% of them
are not redeemed by the prop owner
thus giving the cert owner a fantastic
return on his cash.

[for every 1,000 nowledgeable flippers there is 1 skilled cert buyer]